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CNB Nidetzký Cannot Predict What Will Happen At The June Meeting

CZECHIA
  • Yesterday, CNB Vice Governor Nidetzký mentioned in an interview that the CNB could be near its peak in interest rates, but he cannot predict what will happen in the end of June meeting due to the high uncertainties in markets.
  • The June decision will depend on political/geopolitical developments.
  • Nidetzký added that high interest rates should start to affect inflation in 2023 and he expects inflation to move towards the CNB 2-percent target by the end of 2023.
  • Link to podcast (in Czech):https://www.seznamzpravy.cz/clanek/audio-podcast-p...
  • The STIR market still prices in more hikes in the coming meeting with the FRA 6Mx9M currently trading at 6.75%.

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